China iron ore pellet: Prices rise on demand spike
Seaborne pellet prices were higher on the back of seasonal winter stocking of direct-charge materials and profitable steel mills buying more medium- and high-grade iron ore to maintain peak production rates.
The Argus 64pc Fe, 3pc Al pellet was assessed at $114/dry metric tonne (dmt) this week, up by $5/dmt from last week. The 2pc Al was assessed at $117/dmt, also $5/dmt higher. The premium between 2pc and 3pc Al pellet was flat at $3/dmt.
China's domestic pellet concentrate supplies slow in winter as mines suspend operations, increasing demand for imported direct-charge material such as lump and pellet. An increase in steel prices has also lifted mill profits since early November, prompting mills to stock up imported ores to maintain productivity.
A deal for India-origin Rashmi pellet was done at $111/dmt and JSPL pellet was sold at $110.50/dmt on 6 December. A deal for 55,000t of BRPL pellet with 15-24 December loading dates was done yesterday at $114/dmt.
A cargo of low-alumina Indian pellet was traded at $116.50/dmt cfr China on 5 December. A low-alumina KIOCL pellet was sold on 5 December at 960 yuan/wet metric tonne (wmt), or a seaborne equivalent of $120/dmt, at Shandong port.
The main Indian producers are mostly out of December-delivery cargoes and supplying January-delivery cargoes.
A large-scale Indian producer received bids for prompt shipments from Chinese buyers at $113/dmt, while a Malaysian buyer bid at $110/dmt, both on a cfr basis. Trading firms are not keen on booking future cargoes given the price volatility and are more interested in buying prompt shipments that they can sell in the short term, said a senior executive at the company.
An Indian pellet cargo was sold yesterday at Yn935/wmt in Caofedian. A BRPL pellet cargo was offered at Yn960/wmt in Rizhao and Caofeidian, while a JSPL cargo was offered today at Yn940/wmt in Jingtang port.
source: Argus Media
Top News
Glencore in talks to sell Philippine copper smelting unit
Rasul Khalife Soltani, Secretary of the Iranian Steel Producers Association on the sidelines of the 1403 Steel Symposium:
Mobarakeh steel is producing green steel through scrap recycling
Norilsk Nickel plans to sell all it produces in 2025
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
India’s record gold import said to be due to calculation error
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Norge Mining acquires Europe’s largest natural graphite producer
Mercuria partners with Zambia on metals trading venture
Aluminum price falls to one-month low in wider commodity slump
Lure of Anglo’s copper mines could test BHP’s spending resolve
Copper giant Peru foresees another production plateau in 2025
Iron ore price weakens as Australia flags return to sub-$100 prices
Nickel price hits 4-year low as gloom offsets potential Indonesia cuts
Mercuria partners with Zambia on metals trading venture
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Triple Flag to acquire royalty on Tres Quebradas lithium project
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
Aluminum price falls to one-month low in wider commodity slump
India’s record gold import said to be due to calculation error
Lure of Anglo’s copper mines could test BHP’s spending resolve
Iron ore price weakens as Australia flags return to sub-$100 prices
Nickel price hits 4-year low as gloom offsets potential Indonesia cuts
Sibanye raises $500m via metals streaming deal with Franco-Nevada
Triple Flag to acquire royalty on Tres Quebradas lithium project
Volkswagen buys 9.9% of Patriot Battery Metals for $48 million
Aluminum price falls to one-month low in wider commodity slump
India’s record gold import said to be due to calculation error
Glencore in talks to sell Philippine copper smelting unit
